Bail Under Bank Scrutiny: Why Lawyers Are Being Asked to Explain Their Motives for Helping Clients

In Ukraine, a debate has arisen over the limits of banks’ financial monitoring when posting bail for suspects. Banks may verify the source of funds, but questions about a lawyer’s personal motives raise doubts as to whether such scrutiny is proportionate. Where is the line between a lawful check and obstruction of the right to a defence?

Can a lawyer post bail for a client?

Under Part 2 of Article 182 of the Criminal Procedure Code of Ukraine, bail may be posted not only by the suspect or accused, but also by another individual or legal entity.

The law does not require the person posting bail to be a relative of the suspect. A lawyer may therefore also act as the bail provider, provided there are no other statutory restrictions.

In practice, however, exercising this right may be accompanied by additional checks by the bank.

Why are banks interested in personal motives?

Stanislav Bronevytskyi, a lawyer and former prosecutor of the Specialised Anti-Corruption Prosecutor’s Office, has publicly raised the issue of difficulties in making payments to post bail.

According to reports, banks have begun asking for explanations not only about the source of the funds, but also about why the lawyer is paying bail instead of the client’s relatives, and about the lawyer’s personal or economic interest.

At the same time, it has not yet been possible to independently confirm the content of this particular bank request.

What does the financial monitoring law allow?

Articles 7 and 11 of Law of Ukraine No. 361-IX provide for a risk-based approach and customer due diligence. Banks are entitled to establish the source of funds, the purpose of a transaction and other circumstances needed to assess risks.

These powers, however, are not unlimited. A requirement to explain the nature of a transaction may be lawful, whereas a requirement to prove a personal interest in helping a suspect needs separate justification.

The Criminal Procedure Code of Ukraine does not oblige the bail provider to explain why it is they, rather than the suspect’s relatives, who are posting bail.

Are the lawyer’s rights being violated?

Articles 22 and 23 of the Law of Ukraine “On the Bar and Practice of Law” protect legal professional privilege and establish guarantees of a lawyer’s independence. If bank requests concern confidential relations with a client, there is a risk that these guarantees will be breached.

That said, not every additional question from a bank is unlawful. What matters is whether the request is justified, how it relates to financial risks and how much information is being requested.

What should you do if the bank refuses?

If a bank delays or refuses to make the payment, the person posting bail should ask in writing for an explanation of the reasons, provide documents proving the lawful origin of the funds and, where there are grounds, file a complaint with the National Bank of Ukraine.

The key principle is that financial monitoring must not become an unjustified obstacle to enforcing a court decision. The lawful origin of funds does need to be checked, but the mere fact that a lawyer, rather than relatives, posts bail does not indicate a breach of the law.